After demonetization, many types of news are coming out regarding fake currency and notes. In view of this, the Reserve Bank of India (RBI) has issued a statement regarding the Rs 500 note.
RBI On Rs 500 Currency Note: In today’s time, everyone has a note of Rs 500. But whether that note is fit for circulation in the market or not is a big question. This is because after demonetization, many types of news are coming out regarding fake currency and notes. In view of this, the Reserve Bank of India (RBI) has issued a statement regarding the Rs 500 note.
What did RBI say?
RBI has asked banks to test their note sorting machines every three months for accuracy and stability. Ensure whether the pretend notes are as per the prescribed parameters or not. RBI has set 11 standards for the correct condition of the notes. Also, banks have been instructed to use note fit sorting machines instead of note sorting machines.
What is a fit and unfit note?
RBI said in its circular that a fit note is one which is genuine, clear so that its value can be easily ascertained and which is suitable for recycling. An unfit note is one that is not suitable for recycling due to its physical condition. There are many unfit note chains which have been phased out by the Reserve Bank of India.
RBI instructions to banks
RBI directed banks to check the authenticity of note processing machines/note sorting machines from time to time. Any note which does not meet all the characteristics of the genuine note will be classified by the machine as doubtful/rejected. Additionally, according to the circular, banks will have to send fitness reports of currency notes to the RBI every three months. Banks will have to inform RBI about the number of notes found unfit and the notes that can be reissued after proper maintenance.
